shrinking fat32 and cluster size

[craigch1]

I am under the impression that parted doesnt change fat32 cluster size when 
resizing.  I must shrink my Win98SE partition (the whole 10GB drive) before 
installing Slackware Linux and dual-booting.

I believe a 10GB partition has 8KB clusters, but my desired 5GB partition 
requires 4KB clusters (8GB is the boundary).

1) Would Win98SE function properly if the cluster size was not changed?
2) If Windows would function, then would there be a performance hit? (I mean 
speedwise - I've got enough space to waste.)
3) If parted *can* now change fat32 cluster size then since which version? (I 
think I have parted1.6.6, which came with Slackware9.1 and the 2.4.22 kernal.)

I appreciate your program,
Craig